Free online calculator · Financial
Loan Comparison Calculator
Compare two loan scenarios by payment amount, interest rate, repayment period, total interest and overall cost.
Formula • Worked example • Interpretation
Compare two loans by total borrowing cost
Monthly payment is only one way to compare loans. The interest rate, amount borrowed, repayment term, and fees together determine the actual cost.
Calculation method
For a fixed-rate installment loan: payment = P × r / (1 − (1 + r)⁻ⁿ). Total scheduled interest = (payment × n) − P, excluding fees.
Worked example
For the same $10,000 principal at the same 6% APR, a 60-month repayment schedule has a lower payment than a 36-month schedule—but usually more total interest.
What your result means
Compare both payment affordability and total interest. If the loan amounts differ, also ask whether each loan finances the same purchase or need.
Tips for better calculations
Keep loan principal equal when comparing interest-rate offers. Then try equal APRs with different terms to isolate the effect of repayment length.
Assumptions and limitations
This tool does not model origination fees, prepayment penalties, variable rates, balloon payments, or promotional APR changes. An advertised rate may not be your approved rate.
SiCalcs tools provide estimates and educational calculations; they do not replace professional financial, medical, tax, or legal advice.